Joe Paterno allegedly heard of Jerry Sandusky abuse as early as 1976

Joe Paterno may have known about abuse allegations against assistant coach Jerry Sandusky as far back as 1976 -- a revelation that could destroy what's left of the former Penn State football coach's already tarnished legacy -- according to a lawsuit between an insurer and the school.

Sandusky was convicted in June 2012 of of sexually abusing 10 boys over a span of many years, using his station as a coach at one of America's iconic college football programs to lure in victims.  

The explosive lead comes from a case (below) between the university and an insurer, which is part of the Sandusky fallout. Paterno died at age 85 six months before Sandusky was convicted; his family continues to claim he never knew of Sandusky's abuse before allegations became public.

Penn State and an insurance company called PMA are now involved in a suit in which the company hopes to be reimbursed for $60 million it's made in payments to Sandusky victims. 

It says Penn State insurers claimed "in 1976, a child allegedly reported to PSU's Head Coach Joseph Paterno that he (the child) was sexually molested by Sandusky." 

Per PennLive, the court order "also cites separate references in 1987 and 1988 in which unnamed assistant coaches witnessed inappropriate contact between Sandusky and unidentified children, and a 1988 case that was supposedly referred to Penn State's athletic director at the time."

Wick Sollers, the Paterno family attorney, released a rebuttal statement Thursday night. 

"An allegation now about an alleged event 40 years ago, as represented by a single line in a court document regarding an insurance issue, with no corroborating evidence, does not change the facts," the statement read in part. "Joe Paterno did not, at any time, cover up conduct by Jerry Sandusky."

Will this development provide irrefutable evidence for those who believe Paterno was negligent about Sandusky preying on young boys? That's far from a sure thing, but it's certainly a development worth noting -- and one worth keeping an eye on as the insurance case moves forward.